During the Spanish era, when barter of various goods was made of trade in the Philippine Archipelago, there was a lady who requested to take a ride on traders' sailboat (banca). She wanted to disembark on a place called Mariveles, now named Dauis. While sailing at a distance of a certain shoreline, the lady noticed an islet-like structure which was actually a rock with trees grown on it situated about 50 meters away from the shore. Upon seeing it, she told the travelers/merchants "Pombato, Booy Na! Duol na ang Lungsod sa Mariveles." (There's the rock island, we're in Booy! We're getting near to the town of Mariveles). From there on, travelers, merchants and people residing near the islet-like structure called the place Booy.

The islet-like structure which the lady referred to can still be seen by seafarers at the shore of Sitio Lawis in Barangay Booy.

There is no trace of records as of when Booy was created as a barangay. However, it is recognized as a component when Tagbilaran was chartered as a City on July 1, 1966.

In the year 1902, when the people of Booy felt the need of having a school, Genaro Galon, who was after the welfare of the people approached the teniente, Guillermo Maslog, and suggested to him that the barrio must erect a school so that the children could be educated. Genaro Galon, as a civic-spirited man, offered his services as a teacher without salary. The people erected a nipa building for only three days. There were 152 children attending the school. The children from Basak and Taytay were enrolled there. The supervisor, Mr. Adams, used to drop and see the welfare of the school when he was going to visit the barrio of Taloto. He took this matter to the Municipal Council. A qualified teacher was sent to Booy in 1904, Mr. Esteban Lumain. He was the first school teacher in the barrio.

The people of Booy even before the Spanish time, were God-fearing and law-abiding. The males at that time were required to help in constructing the church, and they were forced to contribute blocks of stones. The patron of Booy, Birhen sa Guadalupe, was from Domingo Mercader, who was a devotee of her.

The big barangay hall was constructed with the aid of the City Government. It is here where meetings and other important gatherings of the barrio are usually held.